……..is a long term lease and the lessee will be paying much more than the cost of the property or equipment to the lessor in the form of lease charges.

Related MCQs

• The lessee can protect himself against obsolescence by entering into a capital lease agreement with the lessor.
• A “sale and lease back” arrangement is suitable for a lessee having…..
• A lease agreement grants lessee the right to….
• Operating lease is favoured by the lessee in respect of assets which depreciate in value on account of …..
• Basic lease period refers to the period during which lease is irrevocable.
• Black & White Ltd. Has a cost of equity of 11% and a pre-tax cost of debt of 8.5%. The firm's target Weighted average cost of capital is 9% and its tax rate is 35%. What is the firm's target debt-equity ratio?
• A ---------- lease is a way of providing finance
• A ---------- lease is a way of providing finance
• Ind AS deals with Lease finance is ____
• National Ltd. Has 12,000 equity shares of Rs.100 each. Sale price is equity share Rs.115 per share; flotation cost Rs.5 per share. Expected dividend growth rate is 5% and expected dividend at the end of the financial year is Rs.11 per share, What is the cost of equity shares of National Ltd?